I don't understand why anyone would want to complain about volatility. Back in may I thought the volumes were gonna drop to zero. Thank god the range has increased a bit, but cm'on, it still sucks!
I wonder if anyone is expecting a big shift in volatility and volumes in the near or far futures, it can't keep on going forever like that, can it?
for large caps - expect the squeeze to continue. for med/small caps the vol is still there. i firmly believe liquidity plays a big part in vol. more liquidity, les vol(atility).
I think trading is a lot like chess. In chess you have two kinds of players, one who is booksmart and another who is intuitive. The booksmart player has many advantages over the average intuitive player, as he would learn from studying thousands of games throughout the years. The intuitive player has one edge over the booksmart player, that is, he becomes much better at evaluating current conditions and learning from mistakes on the run. So that if faced with a completly new variation of the game he can improvise; the booksmart player will have to count on the game staying within known variations. [a good example of this is the game between casparov and karpov]. Given enough experience both players are equally competitive. I believe that the intuitive trader has that same advange, he develops the capability to read the market and learn as he goes, when faced upon a totally new situation he'll be able to profit from it; or at least gain back his ground. While the methodic trader will have to fold back. I believe that both trading methods are equally profitable, as intuition becomes sharper with time, and the methodic trader learns to adapt to new conditions.
actually, physical speed is an edge in alot of trading, much like videogaming. i've seen traders who perform better because they can simply click faster and maneuver their positions like a bolt of lightning. i run a desk, and i see this happening everyday. two guys have the same ideas, but one guy always seems to make twice as much cos he gets the better fills just on his hand dexterity.
I think all you need is a little R&R (rest and relaxation) for about two weeks. Take a vacation and forget about the markets for a while. Try something new for a change. When you do get back into the market and start making profits again, don't get caulky and sh*t, cause that's when the markets will HUMBLE you back into your sorry ass, which will then trigger your trader's block again.
The extent to which you get fu*ked up is the extent to which you don't know your market. There is no cure. Except to know your market.